Overview
Assets are things that the company owns that have a value, which will be used in the future to generate cash flows. Some of the common asset accounts include the following.
- Current Assets
- assets that are expected to be utilized and turned into cash within the next year
(or current operating cycle)
are termed current
- Cash
- Accounts Receivable - money owed to the company, typically from consumers purchasing the company's product on credit.
- Prepaid Expenses
- Notes Receivable - money that is lent out in the form of loans or securities.
- Land and Buildings
- Equipment